Thesecret to understanding the needs of your clients is to listen tothem. (Photo: Shutterstock)

In this crowded marketplace, it can be difficult for insurers todistinguish themselves from competitors on price and coverage.Performance in claims handling and excellence in customer servicecan offer a much-needed competitive advantage. Insurers who striveto place their clients' needs front and center can turn any insuredevent into an opportunity to refine their processes, improveretention and build brand loyalty.

Listen to feedback and analyze data

The secret to understanding the needs of your clients is tolisten to them. Throughout the life of a policy there will be manyopportunities to get feedback from your clients, but this wealth ofdata can easily be squandered. It is quite a challenge toeffectively leverage all the data from phone calls, surveys,web-based forms, mobile apps and social media. Data will becollected by different individuals and departments but must beconsolidated in one location to be analyzed. Get this right and youcan get ahead of the competition and significantly boost customerloyalty.

Make it easy for customers to give feedback and respond inreal-time so that they know you are listening. Become an advocatefor your customers by sharing the data you gather at all levels todrive improvements. Connect customer feedback to business outcomes.Measure and monitor metrics such as customer retention, range andextent of coverage requested, speed of claims handling, andlikelihood that the insured would recommend your products and usethem to benchmark your service against your competitors.

You may want to consider a formal VOC (Voice of the Customer)feedback program to keep the lines of communication open after aclaim. When handled well, VOC can provide valuable insights andimprove customer satisfaction.

Set standards for service

The best way to tackle this head on is to establish clearguidelines and set timeframes for all aspects of your business(especially claims handling) and investigate any occasions whenthey are breached. Beware of complacency in this area. There arealways improvements to be made, and new technology to consider.Cloud-based solutions and AI applications can help speed up a claimand provide a wealth of data to help streamline processes.

Speed is of the essence in claims resolution, but how a claim ishandled can be almost as important as the outcome. In this area,employees are your greatest asset. Efforts to enhance employeeengagement and satisfaction will have a positive effect on all oftheir interactions with customers.

Recognize and reward good customer service and roll out bestpractices to all divisions. Recognize that it is not only thedemeanor of your own employees, but that of all external serviceproviders that will affect how customers view your service.

Clear communication and transparency

Thankfully, we have mostly left cumbersome paper forms with slowsnail mail turnaround behind. It is now possible to communicatewith your customers across a wide range of platforms and offersupport and advice at any time of the day or night. Many potentialcustomers will simply not tolerate a product where ease of accessis not available. An Accenture survey found that 53% of insurancecustomers would not recommend any insurer that did not allow themto check claim status through digital channels such as mobile.

Offer clients multiple entry points to communication with youand respond in kind. Some people would rather handle everythingonline, and texting updates on the progress of a claim couldsignificantly reduce the number of times the insured has to reachout to you.

Positive communication also includes making information freelyavailable to your customers. An intuitive web-based platform cananswer many questions for your clients, but it is important thatthey can also speak to a person if they have concerns.

Adopt the right tech and software

One of the greatest areas of impact on customer loyalty is thespeed of claims handling. Technology can help to massively reduce cycletimes, reduce costs and improve retention. A truly proactive firstnotice and resolution system could turn your customer into anevangelist for your products, while an unwieldy First Notice ofLoss procedure could turn them against you.

With increasingly sophisticated products on the market, it canbe hard to choose the right tech partner to deliver a fast andadaptive platform that will enhance account application, claimshandling and the collection of customer feedback. It pays to takesome time to evaluate your tech partners and look for solutionsthat are adaptable, intuitive and easy to use.

Related: Using data to assist in claimsdecisions

Build measurement and improvement into your system

Measuring and evaluating processes is a critical competency forany insurer. Benchmarking your products and processes can help youto focus on the areas that need improvement. You also cannot besure if your policies, technologies, systems and workflows areworking as intended if you do not measure their effectiveness.

Listening to feedback and analyzing data is not a one-offactivity. You need to create a feedback loop that can drivecontinuous improvement to enhance the customer experience youoffer. Put insureds first and your business will thrive.

Fred Lizza is CEO of StrategicClaim, a provider of a SaaS-based claimsplatform for carriers, agents and policyholders designed toexpedite reporting and resolution of auto and homeowners insurancelosses. He was previously CEO of Freestyle Solutions, ane-commerce and SAAS order management leader. Contact himat [email protected].